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FOX Business After the Bell

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U.s. 12, Us 12, China 8, Apple 7, Wilbur Ross 6, Roku 4, Jason 4, Anthony Wood 4, Schwab 4, Europe 4, Egypt 4, Ashley 4, Greece 4, Janet Yellen 3, Washington 3, Nissan 3, Ben Bernanke 3, S&p 3, Google 3, America 3,
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  FOX Business    FOX Business After the Bell    News/Business. Stock  
   market updates. New.  

    August 19, 2013
    4:00 - 5:01pm EDT  

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>> that is one of the reasons the stock is down more than -- [closing bell ringing] liz: on this monday. the bells are ringing on wall street. yeah, couldn't quite make it earlier today. nasdaq saw some green, you see a little bit bit of a reversal, te dow jones industrials down full 71 points, close to the lows of the session. the s&p 500 is down. russell 2,000 down a full percentage point. ashley: let's get to some top headlines for you. the fed is telling big banks to improve how much capital they need to with stand any future crises. citing tests that were used to determine a bank's health. liz: jpmorgan's stock taking a hit on new concerns about scrutiny from regulators. they could face 6.8 billion in legal losses above existing reserves. charlie gasparino is reporting they're creating a moat. ashley: is that right? billionaire carl icahn increased
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his stake in energy producer, chesapeake energy. he owns just shy of 10% of the stock according to regulatory filing. liz: the firm upgrading the stock to overweight saying that the retailer should see growth in the mid-teens in the future. ashley: investors keeping close eye on egypt as the violence showing no signs of ending. government killing 25 -- killing of defend five egyptian police officers near the border with sinai near israel. liz: order for 60 new fighter jets. who is ordering? south korea. sources say the u.s. aerospace giant undercut rivals in the bidding war. "after the bell" starts right now. ashley: let's get right to today's action. jason pried from -- pride from
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glenmede sees the market grinding higher and he has three ways to make you money. joining us from the pits of the cme, joe cusack. we drifted along in typical august fashion but suddenly saw a big spike on the 10-year yield, didn't we? >> we saw it get mortgage of 2.89%. when you see the 10-year move like that bond prices starting to pull off, you will see the economically sensitive sectors start to get a little weak. we saw it in the financials, we saw it in utilities and we're seeing it in housing. we're seeing it again today. that promulgated pushback as we got closer into the close now. liz: that is the big issue. teddy weisberg from the floor of the nyse saying the bond market doesn't lie. as the yields continue to go higher, all sorts of issues swirl around people's minds, traders minds, investors minds. if it costs more to borrow money as interest rate goes higher
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what will happen to mortgage rates? builders got hurt. what did you find interesting in commodity land, anything? >> in commodities we were watching metals. specifically we were watching a little bit of iron ore, there was ship of mix out to china. also the gold trade. we're keeping an eye on copper. it has been weak. that is usually a good barometer for brisk or emerging markets to see if there is strength in the emerging markets. large cap tech names they performed well into the close. did see a little bit of a pull back but those performed well. we're trying to see if strong hands are buying into this as well. ashley: jason, as we introd this segment you're cautiously optimistic on the markets. what provide you a little bit of caution as we go through the very quiet summer trading weeks? >> well, look, you know, profit growth and economic growth is good, but it is definitely not been grade. this last earnings season at
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4.8% growth is nothing any of us can jump up and down about and get excited that everything is off to the races yet in the meantime equity markets have been up 20% year-to-date. so i think on the surface in the analysis you would look at that and think, have the equity markets gone a little too far. if you step back and look at 40,000-foot view of this, we're sitting 16.5, 11 times earnings a fairly normal valuation level for the equity markets and yet fixed income markets even after this run-up are still sitting at a level basically, half a percent of real rates when real rates normally are in the ballpark of 2, 2.2% historically. there's a long way to go for these to get back to normal yet equity markets are sitting at their normal. so for long-term investors to be somewhat a buyer or an owner of equities makes some sense but perhaps a little caution is
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needed just from perspective of how far the markets have moved so fast. liz: joe, let's talk a little bit what happened with oil today. i only bring that up not necessarily because we've got viewers investing in a barrel of oil but certainly energy intensive companies. all kinds of companies using energy. down 46 cents but still straddling 107. if we stretch it out to six months, a year, how much higher we've climbed. and what then happens as we see that 110 perhaps is the next waystation? >> it could be but again i think there is some, let's say premium built in right now based on what's going on in egypt and middle east. we can't discount that but i want to continue to watch the consumers. i want to see if the habit, because retail has been getting weak. i want to see also if the consumer starting to get weaker going into the third quarter and into the fourth quarter. if that occurs, i think the guests on right now is right.
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i think you have to be cautiously optimistic right now, buying in small into opportunities. but the commodity markets are trying to tell us something here right now, with the moves. i think there's a little bit of resistance at these levels we've got to respect. ashley: jason, as we like to say, show me the money. where should investors put their money in this type of trading environment? >> so if you still believe this is a moderate growth environment, one where economics will not just rocket upward but will stay in a growth trajectory, what you need to focus on is profits and free cash flow. companies that have large profit margins, are able to take the cash, turn around and reinvest it in their own company, buy their own stock or pay out healthy dividends. for us that means a couple different areas in health care, in, industrials, and in technology. all right. each of these 3m and industrials, johnson & johnson and health care and microsoft in
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technology are big bellwether, high-profit margin companies that, if you have slower than normal economic growth are just steady, slow, economic growth that profit margin carries through and drives earnings forward and allows investors these stocks at reasonable valuations to move ahead in a slower growth environment. liz: why microsoft? windows 8 has been, just admit it, a disappointment. talk to people inside intel and they're saying, we wanted it to be amazing so all these ultrabooks would sell and the surface isn't the hottest thing since sliced bread. why would you pick microsoft as a slow plodding stock? i think they're brilliant over there but -- >> a lot of it, yeah, a lot comes down to the thick profit margin, the fact they take the dollars and buy back their own stock and pay out a healthy different den and reinvest in the business. they will have hits and misses but if you go with the highest
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flying, best product company as we've seen with research in motion, with apples of the world, with the high-flying darlings quite often they have their own mistakes and have a lot further to fall than a company with a dominant market share in operating system and office ecosystem. they can wring out the profits and just buy back the stock and pay out a hefty dividend. liz: good to see you both, thank you very much, joe and jason. joe we'll come back to you when the s&p futures close. >> thanks for having me. liz: when we come back we will be joined by one of the most successful investors on the planet. someone looking to make a money out of the wreckage of europe's debt crisis. this is billionaire wilbur ross, giving us very latest investment ideas he cooked up. including thoughts where to put money in this country. you do not want to miss the interview. ashley: look forward to that. will turmoil in egypt affect global oil supplies? how should investors play all
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the uncertainty? we will have a all-star panel that will give us their playbook. that is up in just a moment. we're asking what you think. would you dump your cable provider for streaming services like roku. go on facebook.com/afterthebell and let us know. liz: a few have cord cut and went to row cue. -- roku. ♪ [ male announcer] surprise -- you're having triplets. [ babies crying ] surprise -- your house was built on an ancient burial ground. [ ghosts moaning ] surprise -- your car needs a new transmission. [ coyote howls ] how about no more surprises? now you can get all the online trading tools you need without any surprise fees. ♪ it's not rocket science.
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downgrade. let's head back down to lauren simonetti on the floor of the new york stock exchange with more. lauren? >> this is one of the big losers, ashley. trulia is down 5.2% at the closing bell. they got a downgrade. that came from rbc capital markets. the downgrade was sector perform from outperform. this is what they said was concerning. online real estate listings stock has become less compelling. they're facing increased competition from other sites like zillow. that stock was down 7% today. you know the news there. they agreed to buy their rival actually, for street easy for $50 million in cash. zillow, for instance, is up 200% this year. was a gainer for the year. both of them losers today. back to you, ashley. ashley: lauren, thank you. liz: s&p futures are closing in just about a minute. so let's head back to joe kucik in the pits of the cme. how will things look here? >> liz, you know what? a mixed day today. we saw the market pull back.
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i think you will see economically sensitive names in finance, housing, and also the utilities. they're going to be under a little bit of post-traumatic stress disorder if we keep seeing action we've seen in the bonds. another thing you want to take note of, watch the spec funds, specifically commitment to trader reports that come out. look at the short interest. now we've seen it at levels we haven't seen in a long time in the nasdaq and dow jones as far as shorting is concerned on the futures. that is something very interesting. could be potentially hedging. last, watch that fear index, the vix. it has been up 2% today, roughly right around there. it is up 24% overs the last two weeks. there is heightened expectation of potential movement in the market right now. we can't not pay attention to it. liz: good point, joe. thank you very much. ashley: oil futures settle ad bit lower today after six consecutive sessions of gains but as violence in egypt continues into another week, many investors are concerned an
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escalation in the fighting could spread to disrupt the suez canal and threaten global oil supplies. liz: we have to talk about this, higher oil prices affect all stocks, david greenberg, and andy lipow are here to game what will happen. david, i will begin with you. what do you think is the price target -- by the way should let our viewers know, oil experts and guys like this, their price targets go two weeks, two months? not like equity guys say 12 months. david give us your expectations for prices of oil? >> over the next few weeks you will see oil come off. the issue in the middle east with egypt, the chances of the straits being closed are pretty slim. the fact that the military is in charge and the entire region is behind the military. they will not do anything to cut their nose off to spite their face. over next few weeks the hype will go down, 102, 103, it will come off a little bit.
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liz: andy, you're not that much different on the price target, are you? >> no. i see $105. i think in the middle east the pipeline sabotage in iraq to port closures in libya. disagreements between south sudan and sudan and oil exports. we're seeing a million barrels a day off the market. ashley: david, is this more a brent story than a wti story though? the unrest in the middle east has much bigger impact on europe. this side of the atlantic, listen, we're coming to the end of the driving season. we didn't have a storm in the gulf that just went away. is egypt more of a threat to the brent trade than wti? >> yeah. i could see the brent-wti spread blowing out a little bit. a couple weeks ago we had three-decade high inventories at wti cushing. driving season is really coming to an end. if you look at the curve in the wti market, you see only a few months out it drops to 102, 100
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and $98 seven months out. i think we're pretty much okay for the u.s. market. liz: down the road, andy, what will influence the oil market, if not arab nations and opec nations? >> well the biggest thing i see out there is china. we have really an interesting phenomenon going on where chinese imports continue to rise and u.s. imports continue to decline. by 2014, i see china being the biggest oil importer in the world and we're going to be more focused on their economy to drive oil prices than here in the u.s. liz: this is a double-edged sword here, right? don't we want to benefit from that and be one selling the oil? talk to somebody like charlie monger, the vice-chair of berkshire hathaway, he says why would we use up our resources and soak those up and give them away when we should be conserving them and using the other guys? >> we're certainly not giving china our resources. what is happening as our oil production increases we're able to reduce imports which helps
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the trade deficit. we're creating more jobs in north america. now we have raw material advantage on crude oil and natural gas. ashley: david, let me bring you in on this particular topic. what is your view on china being a major player in the oil market? >> everybody keeps talking china, china, china over the years and it has been the greatest single story that hasn't shown up. if u showing programs they built cities nobody is even come to. think in the long term it has a chance to be a very big story but in the near term, next 12 months i don't see it. liz: david, are they secretly filling their spr? they're not done? >> people are producing more and more. the united states has produced more than it ever has. for the short term that will make up for the shortfall. ashley: andy, let me bring you in on another subject that i think is very interesting. a report says plunging prices, disappointing well results really slowed down the land grab for u.s. shale. that the excitement has really
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temper ped. have you heard that and do you expect that to continue? >> i certainly have heard that and, you know we do see signs of that especially in the utica shale in ohio. and there are some disappointing results on the most western part of the eagle ford but if you were to look at north dakota, hard to see that where they're over 800,000 barrels a day. there are plays that we're waiting to see especially in wyoming, colorado as well as some other areas in oklahoma where some of the results have been good and some are disappointing. liz: david, do you believe the predictions we'll be energy independent by 2020 here in the u.s. >> no. it's a nice thought. we'll be getting closer and closer and closer, however i think that energy independent, we have quite a long way to go. liz: so what do you pick? i know you guys aren't stock-pickers per se but how can people make money here? first you, david. >> i do believe the market is going to come off but however it is very, very dangerous to be
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short the outright futures market. i would look at dwo as far as to make sure that everything, you can have the short position and still be safe on the upside. liz: andy? >> if you looking at equities, exxonmobil, they have got production worldwide and if you believe in the price of oil going up, that's a good bet. domestically i like companies like continental resources, anadarko, noble and occidental who have big drilling programseer in the -- here in the u.s. ashley: thank you very much. david greenberg, andy lipow thanks for joining juice two of the smartest on this issue. thanks guys. president obama is a few weeks away from choosing the next fed chairman. this is bigger than who shot j.r., i'm telling you. who will replace ben bernanke? we have latest exclusive reporting from our peter barnes in washington. he has been at the forefront of the decisions and discussion which direction the president might be leaning. ashley: has to be what, 30 years ago, now.
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seems like yesterday. we'll be speaking with a ledge edge dairy investor who literally made billions putting money into distressed companies. we're talking about wilbur ross. he will be here to share his very latest investing ideas with us in just a few minutes. don't go away. ♪ [ male announcer ] this is the age of knowing what you're made o
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ashley: time for a quick speed read of some of the day's other headlines. five stories, one minute. first ups the obama administration tapping mack fee's chief technology officer to be the department of homeland security's top cyber security
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official. she will start early next month. real estate company re/max holdings will look to go public. the company filed with u.s. regulators to raise up to $100 million through a initial public offering of class a common stock. zillow buys real estate website street easy for 50 million bucks. street easy is an online resource for renters and perspective homebuyers in new york city. beats by gray is looking to buy out the asian partner, htc and bring in a new investor according to a report by "the wall street journal" the move comes as the founders look to broaden the company's business. htc owns 25% of the company. apple's next generation iphone may be available in gold. according to reports it will have 128 gigabyte option and a huge four inch screen. that is today's "speed read." [buzzer] liz: huge, four inch. ashley: you know, if you go, overseas anywhere, everybody has
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these huge screens. liz: they're called fablets we showed them to you at three days in the valley a year ago. by the way that is coming up in sent. our special exclusive coverage. the president's summer vacation has come to an end and he is back in washington today. his next big decision, who will take over from ben bernanke as federal reserve chairman. ashley: among the favorites are janet yellen and larry summers but there are a couple of dark ill the president choose? peter barnes, man in washington, d.c. with the latest. peter? >> ashley and liz, the president in his first day back from his vacation meeting with all major financial regulators at the white house including federal reserve chairman ben bernanke. here are six of the eight and on his way out, gary gensler, the chairman of the c ftc, we asked him how it went, he said, good meeting about financial regulation. that was it. we didn't get any comments from any of these folks. this is the fifth anniversary of
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the financial crisis this september. this past july was the third anniversary of dodd-frank financial reform. part of the meeting was about this, 398 required rule-makings under dodd-frank. 15 have been met with finalized rules but regulators have another 113 where rules have just been proposed and 127 where no rule making has been proposed. they are behind on all of this. and then, as to whether larry summers, the president's former economic advisor or janet yellen, current vice-chair of the fed will get the top job? well it looks like it is summers to lose according to sources because he remains very close to the president. >> the president can put only one person who can act independently in charge of the federal reserve bank. he will want it to be someone he might not agree with on everything he at least will know
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he will consider his interests, someone he trusts, has a personal working relationship with, that all points to larry summers. >> i checked the white house visitors logs once again since he left. as head of the national economic council. since he left, larry summers has been back to the white house 16 times, as of the end of 2010. he had six meetings, more than half a dozen meetings were with the president. janet yellen been to the white house once. that was for a meeting with former economist alan krueger. liz: what about roger ferguson, alan blinder, some of these other names, do you see them stopping by? is there a chance the president will simply say the heck with all of you about these two, let me bring in a dark horse, a name that isn't out there front and center and who might be easy to get confirmed? >> one source that talked to about the other candidates said, quote, this is a police lineup. they want to make sure that it
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looks like the president is considering lots of candidates and that he has deliberative process underway but they are discounting the other candidates you just mentioned. ashley: we shall see. what about tim geithner? liz: tim doesn't want it as charlie reported. ashley: there you go. liz: charlie, thank you very much. ashley: ledge epdairy investor wilbur ross ceases opportunities in companies where others left for dead and he has made billions. his advice coming to you completely free only on fox business. liz: as the streaming tv battle heats up, we have one of the industry's biggest and most important players looking to take over your living room. roku ceo anthony wood is joining us. who is nipping at his heels? cisco, intel, apple tv we'll talk about that and more. ♪
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liz: as we told you earlier just a few minutes ago one of the biggest names in the hedge fund industry, harbinger capital phil falcone reached a deal with securities & exchange commission. he will be barred from the securities industry for at least five years. he and his firm will also pay a fine of $18 million and will admit wrongdoing. this all stems from an sec
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action against falcone accusing him of doing something no fund manager should really ever consider and that is he used assets from his fund, he borrowed about 118 million from his fund to pay his personal tax bill. no. so, he is banned from the industry for five years. ashley: it was a heck after tax bill too. liz: must have been. ashley: all right. legendary investor wilbur ross is always on the hunt for beaten down sectors. he made billions of dollars investing in industries nobody wants. liz: distressed asset is his next big bet? joining us now, wilbur ross. i found the battle with icahn, and ackman, and soros and everyone in jumping up and at each other is fascinating and that isn't what we do. >> we haven't had a public fight with any of those. liz: you're a midwestern guy. you don't fight. but you invest in things seemingly nobody else wants. what is the latest distressed
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area you think faces nateing? >> we're focusing more and more on banks in spain, greece, the whole southern part of europe. liz: greece? you really are fearless. >> we haven't done anything yet. we've been just studying it. ashley: you did very well with the bank of ireland. >> bank of ireland has been very good so far. it will be even better as time goes. ashley: what about the spanish banks, in particular that you like? >> well, the spanish government has done a pretty good job, first of all, fixing the economy. they changed the labor rules a lot. we have some factories in northern spain. we see the productivity increase. so it's not just government pr. it's true. second, they have done a pretty good job also, good bank, bad bank, removing the bad aset cetera from the surviving banks. and then, third, they have consolidated banking industry. it had been, half of it was divided among a very large number of little savings banks.
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now they have -- ashley: chronically high unemployment. does that worry you at all and impact on the business community? >> it is chronically high but i think it is overstated. you go around barcelona and go around madrid, doesn't feel like 2% unemployment. doesn't feel like 50 plus percent youth unemployment. i think a lot of people are in the gray economy and in all the southern european countries. >> i remember when greece was very hot, as in burning hot to the touch and was very dangerous. you went to the point where you had gas mask. you were looking outside your hotel room and seeing protesters. but wilbur, you then look at that sand r and say there is opportunity there, even despite as ashley brings up high unemployment but what would, what are the things that you are looking at? you say you haven't yet jumped in but, come -- national bank of greece, what? >> we think the banks got a
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little ahead of themselves in terms of the stock price. to us if you're in a difficult economy and you still have questions about loan loss, the question should be how much of a discount from book do they trade at, not how much of a premium. so there is, we think a little bit after valuation mismatch. ashley: what about in this country, wilbur, what piques your interest here? >> well here we continue to like shale gas although that is getting lonelier and lonelier as activity. it is causing tight oil. there is a lot of oil found in association with shale gas. we find that as a very interesting sector. it is the real reason why our trade balance is starting to get better because we're no longer importing as much hydrocarbon. we're now exporting a lot of petroleum product the and all the industries that rely on that for raw material, chemical,
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plastics, fertilizers are all getting very big cost benefit. liz: do you find the liquid natural gas terminal idea interesting or is that in its sort of insipient stages? >> oh, no, we think that is a wonderful thing. we don't do really startup construction. liz: right. >> they have now been approved by the administration. as far as as i can tell they seem on a schedule to approve another one every two or three months. there are about 15 or so backlogged. that would be a real stimulus to the economy. each of those is going to cost 6 or $8 billion just to put together. then when the products get exported through it they have an ongoing improvement in balance of trade. liz: what's been your best and most impressive trade at that impresses you? you remember went into mci with pennys on the o dollar when it was distressed. you did steel when it was a disaster in the united states. >> i think the banking sector will turn out to be cumulatively the best, maybe not the highest
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percentage. we put a lot of money into the banking sector, more than we put into steel and more than we put into some of these others. so from the total return point of view i think that might be our best. liz: whiners about regulation, basal iii, you don't look at that and say that will really crimp growth? >> well, remember, we're specializing except in europe, we're specializing here in the u.s. in the smaller banks, under 15 billion of assets. and those are less subject to a lot of these rules. there's a tier at 15 and another tier at 50. so i think this, somewhat smaller ones are maybe the right place to be. ashley: fabulous. if we could speak to you for the rest of the hour. they will get upset with us if you do. wilbur ross, w.l. ross chairman. thanks for being here. liz: no fisticuffs with the other guys, icahn and those
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other guys. thank you very much. the streaming video wars are escalating. seems everyone wants a piece of the action. up next roku founder anthony wood shows us what he is doing to beat the competition including apple tv. ashley: ford is dramatically reducing fuel economy rating on c-max hybrid. we'll find out from jeff flock what this means for entire auto industry and the push to sell those fuel-efficient cars. ♪ every day we're working to be an even better company -
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liz: streaming video wars are intensifying. parks associates predicts global sales of connected tv devices will reach 330 million by 2017. that is almost double the number sold this year. that same study, found that roku
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owners stream more content than apple tv owners. what is setting roku apart? are you prepared to dump your cable provider for a set top streaming device? joining us roku founder and ceo, anthony wood. anthony, it was a nice poll. 10,000 people and people with roku felt much more engaged with their device an using it more for the apple tv people who are larger in number but nonetheless your people are more passionate. why do you think that is? >> roku customers by roku to stream. that is why they buy roku. not surprising our customers are more engaged. we sell a lost players. we focus on the price. we sell our players inexpensively starting at $49. we have the most content. content really drives streaming. as you add more contented to platform you get more usage as well. liz: are you seeing a lot of cord cuting?
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i know this is your business, you live and breathe it but i covered the national cable show for many years. needless to say the cable guys say, no, no, it is not happening but that is what people said about subprime mortgages starting to fail. it was only 1% and suddenly a much bigger percentage. what are you seeing when it comes to cord cutting from the cable box? >> i think the big trend all television distribution is moving to the internet and moving to streaming. that is the trend that we see. that is the biggest trend. there is some so-called cord cutting. vast majority of our customers still have pay tv subscriptions. what we're seeing our customers not using anymorevd players. our customers don't use dvd players. another trend a little bit, just starting now, we see picking up momentum over time is customers not using a cable box but still subscribing to a pay tv subscription but watching it on their roku player. for example, you can get hbo on
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roku player. you can get time warner cable. there is, and for those customers that do want to switch to new alternatives like netflix that's an option as well. liz: we have your devices up on the screen. some are $99. let me go to a new competitor in a way, google tv has this chrome cast, the stick. and i know you guys have a stick as well. chrome cast sold out. they became very popular. offered a deal right off the bat. nobody should really, it is 35 bucks. nobody should ever count out google. these guys play hard and play to win. have you seen a change in your sales numbers since chrome cast came out? i'm asking to you say something that is probably not making you comfortable to say but give me an honest assessment if you could? >> no, that's fine. our sales went up when chrome cast launched. the same thing happened when apple tv rose, almost doubled at
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that point. liz: why do you that is. >> in the industry we know about streaming but still a new concept to many people. anything that creates interest in the category and really educates americans about streaming we think is great. so looking at google specifically, they have gone through three major revisions of google tv. they come out with chrome cast. i think it is a little better for them still what happens is, we see customers, when they get, something piques their interest in streaming they do reviews. look at amazon and cnet and buying roku because we're america's favor way to stream. we have best reviews and best pricing compared to value of content we get. liz: apple has sold more units, apple tv, but this brings me to the question of intel. we cover intel heavily here. they keep talking about some type of a device that they're going to come out with. they're brainiacs over there i'm beginning to wonder what do you hear, are you concerned about
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intel entering the market? some analysts we spoke to said everybody needs to watch out. >> let me correct in apple tv. in united states they sell roughly same number of units we do. liz: globally. >> globally they sell more, but in the u.s. we sell more. research there are more roku boxes being used than apple tvs. when someone buys a roku they actually use it. when someone buys apple tv they don't use. >> it why don't you go internationally then if that is a great business opportunity? >> it is a lot of work given way everyone watches tv. we aren't moving internationally. we're in the u.k., for example, canada, we're making sure that we do the best job possible in the u.s. before we go international. liz: talk about the intel device and we have to go? >> intel is rumor. i really don't know anything bit. liz: we're waiting to see. listen, content is very hard to get approval for, is it not,
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anthony? >> well if you mean purchasing content to resell over the internet that is a sticky situation in the industry. industry calls that a virtual mso. i actually think the first company to launch such a service like that would not be a virtual pay tv service would not be someone like intel. more likely an incouple ben already in the business who has multibillion-dollar relationships and knows how to negotiate those types of contracts. liz: anthony wood, roku, we should say one of the top five best-selling electronic devices on amazon, right. >> it is. that is one of our four models. liz: good for you. thank you very much. good to see you. >> thank you. ashley: why don't you go international? that's a lost hard work. liz: he is honest. ashley: all right. ford, sending shockwaves through the auto industry by conduct fuel economy ratings on one of its most popular cars. biel find out if other big automakers could be forced to follow suit. what that could mean for
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investors. liz: this is a big question for green energy fans. guess which household device uses the most energy? a fridge, a tv or an i phone. the answer might shock you when we come right back. ♪ clients are always learning more to make their money do more. (ann) to help me plan my next move, i take scottrade's free, in-branch seminars... plus, their live webinars. i use daily market commentary to improve my strategy. and my local scottrade office guides my learning every step of the way. because ey know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) scottrade... ranked "highest in customer loyalty for brokerage and investment companies."
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liz: this is interesting. ford dramatically reducing the fuel economy rating on its c-max hybrid from 47 miles per gallon to now 43. usually they move it in the other direction, right? could this be a tip of the iceberg for automakers? ashley: jeff flock live with more on the story. jeff. >> the reason it could be, if they make two vehicles, same engine, same transmission, seam weight class, well on the second one i can test the most, best-selling one. take a look at these two vehicles in question, the c-max, the ford c-max and the ford fusion. both hybrids. but, if you look at them, closely, they're not the same vehicle. the fusion is a car. the c-max hybrid is a hatchback, some people call it a wagon or crossover suv even, a small one.
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it was designed to beat out the prius by the way. take a look, i have something to show you, commercial still on the ford website, by the way, touting the mpg ability of the c-max hybrid in beating the prius. i'll tell you, it is funny, except, the numbers in there, are turn out not to be right. they said they got 47 mpg. they really didn't. hard when you're laughing and gloating that you didn't win. still at 4 3m pgs, still one mile a gallon better than prius. how could this happen to other people? look at this example. this is one example but many automakers do that the nissan for example, nissan frontier, compared to the x tara. they both have the same mpgs but the nissan frontier is essentially a truck. the xterra is essentially an suv
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they get same mpg. when consumer report did testing, 15 mpg for the frontier truck and 17 for the xterra. you should test them all. some people would argue. there is a lot of variation out there. ford taking a bump again. ford year-to-date is up over 69%. gm up a little bit today, up 57% on the year and toyota up as well. i'll tell you this mpg thing, if you don't get it right, people get angry. they get more angry with the hybrids because they're harder to get exactly right, but driving style does have impact on it. have to keep watching this one. ashley: led foot claim man. -- claman. liz: lead foot? i'm always accused of lurching. thank you, jeff flock. ashley: thank you, jeff. as you consider your next vacation plan, how about a room with a view? check this out from an unbalanced hotel. it is an at strong niching
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structure that looks like a lopsided picture frame. you have to lean with it. we'll tell you about it next. hi, i'm terry and i have diabetic nerve pain.
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it's hard to describe, because you have a numbness, but yet you have the pain like thousands of needles sticking in your foot. it was progressively getting worse, and at that point i knew i had to do something. once i started taking the lyrica the pain started subsiding. [ male announcer ] it's known that diabetes damages nerves. lyrica is fda approved to treat diabetic nerve pain. lyri is not for everyone. it may cause serious allergic reactions or suicidal thoughts or actions. tell your doctor right away if you have these, new or worsening depression, or unusual changes in mood or behavior. or swelling, trouble breathing, rash, hives, blisters, changes in eyesight including blurry vision, muscle pain with fever, tired feeling, or skin sores from diabetes. common side effects are dizziness, sleepiness, weight gain and swelling of hands, legs and feet. don'drink alcohol while taking lyrica. don't drive or use machinery until you know how lyrica affects you. those who have had drug or alcohol problem may be more likely to misuse lyrica.
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ask your doctor about lyrica today. it's specific treatment for diabetic nerve pain. ask your doctor about lyrica today. when you do what i do, iyou think about risk.. i don't like the ups and downs of the market, but i can't just sit on my cash. i want to be prepared for the long haul. ishares minimum latility etfs. investments designed for a smoother ride. find out why 9 out of 10 large professional investors choose ishares for their etfs. ishares by blackrock. call 1-800-ishares for a prospectus, which includes investment objectives,risks, . read and consider it carefully before investing. risk includes possible loss of principal.
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>> lets go off the desk. the madrid-based architect firm designed the unbalanced hotel. the building is intended to become a landmark for lima, peru, build into cliffs outside of the city center. featuring 125 rooms,
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restaurants, exhibition spaces. the traditional structure woodblock the stunning view. >> also off the desk, we asked before the break whether iphone, tv or a fridge uses the most energy. the answer is the iphone. the iphone guzzles more energy than your refrigerator. the average new midsize refrigerator uses about 322 kilowatts hours per year. there aryour iphone uses 361-kit hours. >> time for the top thing to watch tomorrow. jcpenney results before the opening bell. exciting to lose about $1.06 per share.
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down 27% in the last three months. he left after publicly criticizing the interim ceo. >> "money" with melissa francis is next. have a good evening, everyone. melissa: i am melissa francis, there is what is "money" tonight. you are new bill. trying to win over new customers. sounds like somebody is doing 10 loads of laundry this saturday. plus, vultures flying in to pick over the carcass ac as the clients flee for the exit. but it could be an investing opportunity of a lifetime. what of the las, commack 1 of the last investors holding on. and the praise hanging on. even when i say this not, it is always about money. ♪

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